Net income was $58.4 mill, compared to a net loss of $202 mill in 2Q14 and adjusted EBITDA was $130.2 mill, more than double that of $55.2 mill reported for 2Q14.
OSG also generated $156.1 mill of total cash in the first half of 2015 to $668.5 mill.
“I am pleased to report strong second quarter and first half results, which reflect the continuing strength in the US and international tanker markets and our unique position in both these markets,” said Ian Blackley, president and CEO. “With a fleet of 79 vessels on the water generating cash, we remain confident in our ability to deliver value for our shareholders.”
The TCE revenues increase was driven by continuing strength in crude and product spot market rates. For the first half of this year, TCE revenues grew to $456.8 mill, an increase of $70.6 mill, compared with 1H14.
Net income for 1H15 was $101.3 mill, compared to a net loss of $189.4 mill in 1H14. The net losses reported in the 2014 periods reflected bankruptcy related charges.
Adjusted EBITDA was $243.9 mill for 1H15, an increase of $102.1 mill compared with 1H14.
TCE revenues for the US flag segment were $115.9 mill for the quarter, an increase of $11.3 mill compared with 2Q14, driven by the continued strength of the Jones Act market. For 1H15, US flag TCE revenues were $227.1 mill, an increase of $22.1 mill, compared with 1H14.
TCE revenues for OSG’s international crude tankers segment were $77 mill for the quarter, an increase of $32.3 mill compared with 2Q14. This significant increase resulted from a substantial strengthening in average daily rates across all vessel types in the segment, with VLCC and Aframax spot rates increasing to around $50,600 and $34,800 per day in 2Q15, respectively, both up nearly three times from the comparable 2014 period; and Panamax blended rates increased to about $21,700 per day, up 44%.
For 1H15, TCE revenues for this segment were $143.8 mill, an increase of $16.2 mill compared with 1H14.
TCE revenues for the international product carriers segment were $42.4 mill for 2Q15, an increase of $20.1 mill compared with 2Q14. This increase resulted primarily from higher MR spot rates, more than doubling from the same period in 2014 to around $18,500 per day. For 1H15, TCE revenues for this segment were $85.9 mill, an increase of $32.4 mill compared with 1H14.
In addition, Joseph Kronsberg, portfolio analyst at Cyrus Capital Partners, Chad Valerio, portfolio manager at BlueMountain Capital Management and Ty Wallach, Partner at Paulson & Co, joined OSG’s board on 3rd August.
At the same time, Alexander Greene and Nikolaus Semaca both left the board.